Introduction to Olympus Protocol
Olympus is a decentralized reserve currency protocol built around the OHM token. Unlike traditional cryptocurrencies, each OHM token is backed by a diversified basket of assets (such as DAI and FRAX) held in the Olympus treasury. This design ensures intrinsic value stability through Protocol Owned Value mechanisms.
Core Features of Olympus
Reserve-Backed Currency System
- Every OHM token has underlying treasury assets preventing value dilution
- Backing includes DAI and OHM-DAI LP tokens for price consistency
- Intrinsic value floor protects against inflationary collapse
Economic Mechanisms
- Staking: Earn rewards by locking OHM tokens
- Bonding: Discounted token purchases supporting treasury growth
- Floating Algorithmic Design: Adjustable policies for balanced growth/stability
Token Utility and Governance
OHM serves multiple purposes within the ecosystem:
- Primary reserve currency
- Governance participation (through gOHM)
- Staking rewards (via sOHM)
👉 Learn how OHM compares to other algorithmic stablecoins
Olympus Token Variants
| Token | Purpose |
|---|---|
| OHM | Base currency |
| sOHM | Staked version earning rebases |
| gOHM | Governance-enabled wrapped token |
| wsOHM | Wrapped staked token (legacy) |
V2 Migration Essentials
Key Migration Facts
- Migration period: Two months post-V2 launch (December 14, 2021)
- Legacy tokens continue functioning but lose some features
- Dollar values preserved during conversion
Token Conversion Process
- OHM V1 → OHM V2: Direct 1:1 transition
- sOHM V1 → sOHM V2: Automatic conversion
- wsOHM → gOHM: Governance-enabled upgrade
Post-Migration Notes
- New bonds/pools require V2 tokens
- Partners exclusively accept gOHM for new deposits
- Delayed migration honors rebase differences later
Frequently Asked Questions
What happens if I don't migrate?
Your sOHM V1 stops rebasing but preserves owed value for future migration.
Is the dollar value affected during migration?
No. While token quantities may differ, the USD equivalent remains constant.
Can I still use V1 tokens in DeFi?
Only OHM V2 works in new pools/bonds after migration completion.
How does gOHM differ from wsOHM?
They function similarly but gOHM adds on-chain governance capabilities.
👉 Explore OHM staking strategies for optimal yields
Supported Platforms and Resources
Olympus integrates with major DeFi platforms including:
- Abracadabra Money
- Ethereum-based DEXs
- Leading wallet interfaces
Conclusion
Olympus represents an innovative approach to decentralized finance through its treasury-backed model and dual token system. With V2 migration complete, users benefit from enhanced governance features while maintaining the protocol's core stability mechanisms.